AVGO仍是长期买入标的；当前疲软源于对冲基金平仓，但其估值仅为2028年每股收益的15倍，目标价450美元。

Now it's time for the watchlist segment, and we're going to look at Broadcom's earnings. The profits were good. So why is the stock falling ? This is a classic example of how, when trading based on earnings, you won't necessarily get the move you want, because if you thought the earnings were good and the stock would go up, that did n't happen today.

Sometimes the profits are great and the stock goes down, and sometimes the profits are bad and the stock goes up. The stock has dropped $30 from yesterday to today, and fell sharply this morning while the markets were rising.

I mean, look at the market now. The market is breaking through two days before a holiday, which is interesting, while Avgoa shares can't catch their breath . This does not mean that the stock will not recover. It is bouncing back here this afternoon, but the last time the stock hit new record highs was several months ago.

So , whatever the expectations, it seems that it did not meet Wall Street's expectations, otherwise the reaction would have been positive today, and the stock would have risen with the market and the rest of the stocks today. There are many companies in this sector that are currently rising, and this stock is not.

To confirm your point, some chip stocks are now turning positive, and Broadcom, which was down about 6% at the start of the session, is down only 3% now.

Because there is much to admire in this report. I mean, tripling profits, nearly doubling revenues, and a clear vision. It seemed that the guidelines were the only problem .

Well, the main factor to focus on is the guidance for fiscal year 2028. They have raised their earnings per share forecast to $30 instead of $25. That was Broadcom's previous call. It was far more disastrous because Hock Tan provided no guidance. Thus, there was one disappointing element, and I agree with the previous comments.

Their revenues were limited by supply. Therefore, despite the $5 increase in financial guidance, it is likely that this disappointed many hedge funds. But we still hold Broadcom shares in our investment fund ( QVAL ETF) and have a price target of $450.

We believe it will revalue itself to only 15 times its 2028 earnings, but we still prefer it as it recovers, and we believe today's moves are mostly liquidations and unwindings of hedge fund positions.

Technical analysis may make sense, but yes, look , the only obvious drawback was that the Q4 forecast came in a bit weak . In this case, Lisa, I'm just wondering what you think the future holds for this company , especially with the news from Google and Marvel, and of course what we heard from Nvidia today as well.

Once again, AVGO stock may rise above 500, or it may continue to fall and collapse. I think they are providing the best numbers they can at this time, given the movements that stocks have seen in the past six to twelve months.

I mean again, even when talking about investing for a hedge fund, if you really like this, would you get out of it today? I thought this would double in the next twelve months with all the new initial public offerings that would be released. As I said, why would you leave today?

Okay, Dana. I see that you have a target price of $500 for AVGO stock. Is this correct? I'm just wondering, umm, you know, what brings us there?

We actually lowered our target, going down to 450 last night in Broadcom because I think that, especially with these big companies, it's the opposite of what hedge funds were thinking .

They thought it was great to invest in chips and terrible to invest in ultra-large companies. But in reality, chips may be close to peak earnings, so they are worth a multiplier of around 15 .

So we try to be more rational and reverse this potential peak and say it will trade at 15 times 2028 earnings. So we still maintain a long position.

I wouldn't be too worried about these short-term moves. There are a lot of ineffective trades taking place today. So for long-term investors, if we wait until this increase starts and we have this very conservative 15x multiple , I think it will return to 450 within the next year.